Avinger Inc. priced an underwritten public offering of series B convertible preferred stock and warrants, for gross proceeds of $18.0 million.
The company will offer a total of 18,000 shares of series B preferred stock, convertible into about 9 million common shares, and warrants to buy about 18 million common shares. The series B stock is convertible into shares at a conversion price of $2.00 per share.
The series B preferred stock and the warrants are immediately separable and will be issued separately.
Redwood City, Calif.-based Avinger plans to use the net proceeds for working capital and general corporate purposes, and may also use a portion to resolve pending legal proceedings.
The offering is expected to close on or about Feb. 16.
Ladenburg Thalmann Financial Services Inc.'s unit Ladenburg Thalmann & Co. Inc. acted as sole book-running manager for the offering.
Avinger makes image-guided and catheter-based systems for patients with peripheral arterial disease.